Sandy Recovery Spurs Hiring From Furniture to Plumbing

Transcription

1 Sandy Recovery Spurs Hiring From Furniture to Plumbing By Michelle Jamrisko - Dec 27, 2012 The first customers Michael Guarino saw after superstorm Sandy asked to cancel orders for furniture no longer needed in their damaged homes, threatening the survival of a business his family opened three generations ago. Then came a different set of clients. Two weeks after Sandy made landfall Oct. 29, Guarino, owner of Michael s Furniture in Brick, New Jersey, began what s turned into more than a month of 80-hour work weeks to serve residents re-stocking their houses. I can t even keep up with it, Guarino, 50, said of the post-storm demand. His business added two more delivery trucks and a warehouse. He expanded the staff to 27 from 15, with plans to hire more, even as Guarino said it s very difficult to find local workers while residents are consumed with clean-up efforts. Furniture dealers are among the businesses seeing a boom in orders as consumers in the Northeast recover from the worst Atlantic storm on record. The disaster that killed more than 100 people in 10 states, wreaked billions of dollars in damage and forced the first two-day shutdown of U.S. stock trading for weather since 1888 is also providing unexpected opportunities for companies assisting in the rebuilding and the employees they ve hired to help. Construction, plumbing, sand supply, tree removal, road repair and structural engineering are among services spread thin.

2 Construction Workers Sandy has probably increased the demand for construction workers by at least an additional 30,000, said Bernard Baumohl, chief global economist at Economic Outlook Group LLC, a Princeton, New Jersey-based forecasting firm. The economic boost of post-storm reconstruction probably will occur over the next year or two, and Baumohl said he expects a real big, V- shaped rebound in construction over the next six to 12 months. We re going to see a significant multiplier effect with all these jobs that are going to be generating income for these workers, which are then going to spend that additional income in the economy, Baumohl said. The rebuilding effort could add 0.4 percentage points to U.S. growth in 2013, he said. While many businesses damaged by Sandy must consider relocating or applying for federal loans, others are seeing enormous demand for all the cleanup and remediation, including services such as mold mitigation and garbage removal, said Tom Bracken, president and chief executive officer of the New Jersey State Chamber of Commerce. There s so much work to be done. Payrolls Drop Still, New York reported a 33,500 drop in payrolls last month as New Jersey s employment fell by 8,100, according to state jobs data released Dec. 21. While the Labor Department said it did not attempt to quantify the job-market damage from Sandy for the states in the affected area, November data for New Jersey and New York reflect the impact of Hurricane Sandy, as well as underlying economic trends. Rosa Ramos, 24, lost her job with a company that provided nonemergency medical transportation for the elderly and disabled in Coney Island, New York, after Sandy flooded the vans and initially wiped out transportation to the area, she said in an . After Sandy my job hunt is extremely rough, she said. If Hurricane Sandy never happened I still would have had a job. Lawmakers are considering a $60.4 billion package requested by the Obama administration to assist residents and businesses that sustained

3 damage after Sandy. After Hurricanes Katrina and Rita hit in 2005, Congress directed more than $110 billion to the Gulf Coast. Lengthy Recovery Recovery from a natural disaster takes years, said Michael Lahr, associate research professor at Rutgers University s Center for Urban Policy Research in New Brunswick, New Jersey. Yet, New Jersey s coastal companies are seasonal and probably will recover more quickly since vacationers will return, compared with New Orleans businesses, which suffered after the city lost half its population in the year after Katrina. To aid in Sandy s immediate clean-up, Thomas Nicolosi, owner of Staten Island, New York-based Redline Construction LLC, added seven employees to his full-time staff of four. Even with the additions, the company is still short-handed and planning to hire more workers, though it s difficult to find applicants with the necessary skills, said Nicolosi, 43. Demand for work after Sandy was so chaotic that Nicolosi s partner started a waiting list for service requests. The company gutted 46 damaged houses in about 20 days in the Belle Harbor area of Queens, New York after the storm. Employees are now returning to those customers to solicit orders to rebuild. Post-Hurricane Work Nicolosi said he expects a six- to nine-month run of demand from post-hurricane work. When that subsides, his company may have to cut back again, he said. The auto industry has gotten a boost as residents replace vehicles lost or damaged in the storm, contributing to added hiring. Cars and light trucks sold in November at a 15.5 million annual rate, the highest since February 2008 and up from 14.2 million a month earlier when Sandy kept East Coast shoppers away during auto dealers busiest time of the month, according to Ward s Automotive Group. Ford Motor Co. (F) deliveries of cars and light trucks climbed 6.4 percent and General Motors Co. (GM) sales gained 3.4 percent, the companies said Dec. 3.

4 Auto and auto parts manufacturers added 9,700 jobs in November and dealers of vehicles and their parts hired 3,300 more workers last month, according to Labor Department figures. Cleanup Orders Small businesses in the affected region are hastening to hire as cleanup orders build. Christian Avery, owner of Avery Tree Experts in Middletown, New Jersey, more than doubled his pre-storm staff to eight employees as he works to clear trees 12 hours a day for six days a week. Last year, at the same time, business was slow, he said, with work two or three days a week handled by three employees. It s been crazy. Insane, Avery said when asked about his business serving Monmouth County. There s still trees on houses a month later. The destruction in the first few days after the storm got Benny Love of Hoboken, New Jersey, thinking about how his town of about 50,000 residents actually may need his package receiving and delivery service more than usual. You have to figure out how to utilize the bad, said Love, 39, the owner of Go Postal Hoboken. Free Deliveries Love offered 100 free deliveries each day for about three weeks after Sandy and is extending discounted rates through the holidays. Hoboken residents have been hesitant to have packages left outside their homes during the clean-up, he said, increasing demand for his business. He s hired two extra workers. At his furniture store, Guarino said the extra demand and previous success has enabled him to apply discounts of almost 30 percent for some orders after the storm to relieve customers financial strain. He said he is optimistic that gains from Sandy s aftermath may be sustained in Before the storm, the economy was on an upswing, jobs were more plentiful, he said. In all industries things were slowly picking up.

5 For now, Guarino is working double his typical schedule to handle the unexpected shot in the arm Sandy provided to his business. This has been the most amazing fourth quarter, from nothing.

EXECUTIVE OFFICE OF THE PRESIDENT A Look Back at GM, Chrysler and the American Auto Industry APRIL 21, 2010 A Look Back at GM, Chrysler and the American Auto Industry APRIL 21, 2010 Today s announcements

Hurricane Sandy: Recovery Efforts One Year Later There's nothing more important than us getting this right. And we're going to spend as much time, effort and energy as necessary to make sure that all the

Automotive Warranty Report: Automotive manufacturers are cutting their warranty costs to the lowest levels of the decade. Sales are recovering from the depths of the recession but warranty expense rates

Senator Roger F. Wicker Testimony on the Reauthorization of the National Flood Insurance Program Senate Banking Committee June 9, 2011 Thank you, Chairman Johnson and Ranking Member Shelby, for holding

Down but Not Out: Alabama Recovering from Tornadoes Pratt City, Alabama, May 2011 Pratt City, Alabama, July 2011 Last April, a wave of tornadoes swept through the Southeast, devastating parts of Alabama.

U.S. DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT WASHINGTON, DC 20410 Written Testimony of Frederick Tombar Senior Advisor for Disaster Recovery to Secretary of U.S. Department of Housing and Urban Development

http://www.crainsnewyork.com/article/20131025/smallbiz/131029919 Whipped by storm, food businesses persevere Hundreds were shuttered. Some lost everything. Here are three survival stories. BY JEN GELLER

Testimony of The Legal Aid Society Before the New York City Council Committee on Finance regarding the creation of a database to track the expenditures of funds in connection with recover efforts in the

CURRENT ANALYSIS May 14 A Look at the Recovery of the Canadian Auto Sector since the 08-09 Recession Chart 1: Motor vehicle production and Canada & US auto sales millions of units 3. Canadian car & truck

Catastrophe risk and the cost of real estate insurance Catastrophe risk and the cost of real estate insurance Any real estate company that owns property in states exposed to hurricanes or earthquakes is

SANDY ALERT: FREQUENTLY ASKED QUESTIONS Many businesses and individuals throughout the Northeast have suffered losses due to Hurricane Sandy and now face the challenges of rebuilding and resuming operations

Floodplain 8-Step Process in accordance with Executive Order 11988: Floodplain Management New Jersey Department of Environmental Protection U.S. Department of Housing and Urban Development Community Development

Understanding the Electric Power Industry s Response and Restoration Process Electricity is a crucial product many of us take for granted. We scarcely think about it, unless we don t have it. Because electricity

CHAPTER 11 STRATEGY FOR SURVIVAL Copyright 2008 Tom T. Moore If you re reading this several months in advance, there are a number of things that you can do to prepare for these coming earthquakes. I realize

Are You in the Path of a Rate Increase Storm? Gallagher Property Practice The Impact of Superstorm Sandy on the Property Insurance Market Are You in the Path of a Rate Increase Storm? Will commercial insurance

Creative Financing for Economic Recovery Howard Pierpont Small Business Financing No small Job Small Business Financial Challenge Small business owners will do anything to remain independent They d prefer

Economic Impact of Hurricane Sandy Potential Economic Activity Lost and Gained in New Jersey and New York Prepared by the U.S. Department of Commerce Economics and Statistics Administration Office of the

To: BOS From: Joseph Michelangelo, P.E. Director of Public Works Re: CDBG-DR Pine Creek Culvert Upgrade Date: April 20, 2015 On June 19, 2014, the Town of Fairfield was awarded the above referenced project

August 2014 Gauging Current Conditions: The Economic Outlook and Its Impact on Workers Compensation The exhibits below are updated to reflect the current economic outlook for factors that typically impact

Order Code RS22285 Updated October 19, 2005 CRS Report for Congress Received through the CRS Web Hurricane-Damaged Drinking Water and Wastewater Facilities: Impacts, Needs, and Response Summary Claudia

United States Chamber of Commerce Q1 Small Business Outlook Study April 16, 2012 Survey Dates: March 27, 2012 April 2, 2012 Methodology The Q1 U.S. Chamber of Commerce Small Business Outlook Survey was

Industry Employment Employment and Wages and Wages Hurricane Katrina s effects on industry employment and wages Rapid development of alternative methods in two BLS programs resulted in a clearer view of

Despite Reforms, SBA s Sandy Response Lags A Report Prepared by the Democrats of the House Committee on Small Business Ranking Member Nydia Velázquez May 2013 Executive Summary Slow Processing Times The

Presentation to the University of Washington Business School For delivery November 15, 2001 at approximately 8:05 AM Pacific Standard Time (11:05 AM Eastern) By Robert T. Parry, President and CEO of the

TOWN OF FALMOUTH CERT 2016 September is National Preparedness National Month Preparedness Month Atlantic Hurricane season June 1 to November 30th Disasters in the United States Yearly Disaster Averages

Hurricane Sandy: The Challenges and Opportunities to Link Disaster Management and Climate Change Adaptation* Gavin Smith, Ph.D. Associate Research Professor Department of City and Regional Planning University

Governor s Proposals for the 2013-14 State Budget and Education Association of California Community College Administrators/ Association of Chief Business Officials 2013 Budget Workshop Presented by Ron

JULY 14, 2015 Stronger NJ Business Programs Bruce Ciallella Managing Director Office of Recovery New Jersey Economic Development Authority What We Do Mission: The New Jersey Economic Development Authority

NFIB SMALL BUSINESS ECONOMIC TRENDS William C. Dunkelberg Holly Wade December 21 Based on a Survey of Small and Independent Business Owners SMALL BUSINESS OPTIMISM INDEX COMPONENTS Seasonally Change From

CREDIT UNION TRENDS REPORT CUNA Mutual Group Economics July 2 (May 2 data) Highlights First quarter data revisions were modest. The number of credit unions was revised down by and assets and loans were

GOOD MORNING MR. CHAIRMAN AND MEMBERS OF THE COMMITTEE. I AM BOB HUNTER, DIRCETOR OF INSURANCE FOR CONSUMER FEDERATION OF AMERICA. THE COMMITTEE ASKED FOR COMMENTS ON HOW TO MAKE POST-DISASTER CLAIMS MORE

Mississippi Development Authority Public Housing Program CDBG Disaster Recovery Action Plan Amendment 1 Mississippi Public Housing Program Overview Hurricane Katrina made landfall in Mississippi on August

C&W ECONOMIC U.S. & NEW YORK CITY NATIONAL ECONOMIC OUTLOOK & REGIONAL OFFICE MARKET : NEW YORK The national economy remains in slow growth mode as the uncertainty created by the seemingly endless series

National Flood Insurance Program (NFIP) Overview A Local Government How to Guide William R. Whitson, IMCA-CM Managing Director Local Government Visions, LLC wwwhitson@aol.com Danny Hinson, CFM, FPEM Florida

Media planning for natural disasters How to shift your marketing and communications in response to a serious event. It s not uncommon for residents of areas where natural disasters happen whether hurricanes,

Insurance Information Institute Am I Covered? common questions asked by homeowners about insurance If a fire, flood, earthquake, or some other natural disaster were to destroy or damage your home, would

IMPROVING THE RESILIENCE OF ROOFING IN THE GULF STATES AUGUST 2015 2005 was the most active hurricane season in recorded history. Four major hurricanes 1 made landfall that year in the U.S. Dennis, Rita

MBA Forecast Commentary Joel Kan, jkan@mba.org Weak First Quarter, But Growth Expected to Recover MBA Economic and Mortgage Finance Commentary: May 2015 Broad economic growth in the US got off to a slow

November 2012 Short-Term Energy Outlook Hurricane Sandy resulted in the loss of electric power to about 8.5 million customers on the East Coast and the shutdown of two refineries, major petroleum distribution

NFIB SMALL BUSINESS ECONOMIC TRENDS William C. Dunkelberg Holly Wade July 216 Based on a Survey of Small and Independent Business Owners SMALL BUSINESS OPTIMISM INDEX COMPONENTS Index Component Seasonally

THE 2006 LOUISIANA TOURISM SATELLITE ACCOUNT AN UPDATE Submitted to The Louisiana Department of Culture, Recreation and Tourism And The Office of the Lieutenant Governor By Professor Dek Terrell Director,

1. Overview Jefferson Parish Department of Water Emergency Plan 1.1. Purpose The purpose of this document is to establish procedures for the Department of Water during natural disasters or terrorist acts.

Post-Disaster Recovery Seminar: Lessons Learned from Hurricane Isaac May 5 and 7, 2014 Everett, Washington and Tacoma, Washington Overview Several cities, counties and the state of Washington are currently

Impact of Crude Oil Prices on Small-Medium Sized Businesses January, 2015 Copyright 2014 Quester Background Small business is BIG! The 23 million small businesses in America account for 54% of all U.S.

11 Common Disaster Planning Mistakes The world is full of risk. Floods, fires, hurricanes, thefts, IT system failures and blackouts are just a few of the incredibly damaging disasters that can and do strike

When a community sustains wind, flood or fire damage, public adjusters tact enables owners to minimize losses, maximize settlements and get back to business. 48 UNITS December 2007 BY WES BALDWIN December

The Argument for Corporate Debt December 2008 This past quarter the US economy has experienced what appears to be the crescendo of a credit crisis that has been building for well over a year. The causes

THE TRAVELERS INSTITUTE Travelers Coastal Wind Zone Plan A Comprehensive Plan to Improve Availability and Affordability of Named Storm Wind Insurance for Coastal Homeowners Number of Hurricanes per Year,

Property Tax Levies and Collections in New Orleans, Before and After Hurricane Katrina By Salomon Alcocer Guajardo In August 26, Hurricane Katrina hit the City of New Orleans, Louisiana, devastating the

U.S. Department of Commerce International Trade Administration Introduction Exports Support American Jobs Updated measure will quantify progress as global economy recovers. On March 11, 21, President Barack

APPENDIX 4: PROCEDURES FOR FILING MAJOR LOSS PROPERTY INSURANCE CLAIMS (revised eff. 5-1-14) The Risk Management Office (RMO) will be the point of contact for any large property loss, or disaster, in order

Hurricane Fact sheet What is a hurricane? A hurricane is a tropical storm with winds that have reached a constant speed of 74 miles per hour more. Hurricane winds blow in a large spiral around a relative

NFIB SMALL BUSINESS ECONOMIC TRENDS William C. Dunkelberg Holly Wade May 211 Based on a Survey of Small and Independent Business Owners SMALL BUSINESS OPTIMISM INDEX COMPONENTS Seasonally Change From Contribution

CITY CLIMATE LEADERSHIP AWARDS New York Climate Close-Up Fast Facts In New York, GDP in 2012 was more than $1.2 trillion, according to the Bureau of Economic Analysis. Statistics from the same source show

INSURANCE IN MISSISSIPPI 10 YEARS AFTER KATRINA Mike Chaney, Commissioner A publication of the Mississippi Insurance Department August 2015 Message from Commissioner of Insurance Mike Chaney One of the

NFIB SMALL BUSINESS ECONOMIC TRENDS William C. Dunkelberg Holly Wade April 215 Based on a Survey of Small and Independent Business Owners SMALL BUSINESS OPTIMISM INDEX COMPONENTS Index Component Seasonally

To ensure the functioning of the site, we use cookies. We share information about your activities on the site with our partners and Google partners: social networks and companies engaged in advertising and web analytics. For more information, see the Privacy Policy and Google Privacy &amp Terms.
Your consent to our cookies if you continue to use this website.